January 2024 will see a new beginning for Tesla that is finalizing negotiations for its very first manufacturing plant in India. The plant will be set up in Gujarat and quite naturally the announcement will be made at Vibrant Gujarat Summit scheduled in January 2024.

Finally Tesla is entering Indian manufacturing arena with its upcoming plant in Gujarat. The negotiation for the establishment of the first plant of the EV giant in India is in its final leg and is very close to conclusion, according to media reports. The announcement regarding this is expected in January in Vibrant Gujarat Summit, reported Ahmedabad Mirror.

For decades, Gujarat has been a strategic location for the business incubation. The state already houses manufacturing units of automakers like Tata, Maruti Suzuki, etc. The potential location of the Tesla manufacturing plant could be Dholera, Sanand, and Becharaji, according to the Ahmedabad Mirror report.

Official announcement by the EV maker or by the Gujarat government is still being awaited but recently Rushikesh Patel (Gujarat Health Minister and government spokesperson) expressed confidence about Elon Musk’s investment in Gujarat. He forcefully emphasised that the government is negotiating keenly with the EV maker to conclude the deal on establishing the manufacturing plant in Gujarat.

As per the media reports, Gujarat has emerged as most preferred destination for Tesla to establish its manufacturing plant not solely because of the state government’s policies but also because of its closeness to ports to facilitate the export of its products. Locations like Sanand that are at short distance from Kandla-Mundra port in Gujarat can help Tesla in boosting its exports from India. Maharashtra and Tamil Nadu were also being considered by Tesla for their potential to boost export.

Vibrant Gujarat Summit

Vibrant Gujarat Summit scheduled for January 2024 is the tenth edition of the Vibrant Gujarat Global Summit conceptualised way back in 2003 and quite naturally completion of 20 years of Vibrant Gujarat Summit will be celebrated with aplomb. Announcement of setting up of Tesla plant in presence of Tesla CEO Elon Musk during the summit can be regarded as icing on the cake. The summit has always served as a global forum for strategic partnerships, business networking, and knowledge sharing for sustainable development and inclusive growth.

Tesla’s long cherished expectation

Tesla has always wanted concession in duty on its EVs to be imported into India and due to high tariffs Tesla cars are not being directly imported into India right now. Tesla was always ready to invest up to $2 billion to establish a local factory in India if the government were to provide 15% concession on import duty levied on its cars imported into India. Tesla has always been serious about selling its cars in India.